🌿 Leaflet: New York State Hemp Regulations 🌿canabodial
Welcome back to our weekly newsletter, which outlines recent cannabis news you need to know about related to entrepreneurship, finance, legal, medicine, science, and technology.
New York State adopts hemp regulations. Stocks get a boost after news that Canada will issue new retail store approvals. We take a look at why many cannabis companies are rebranding, and outline some new scientific studies.
Be sure to join us at a CannaGather in your city, where we continue to network and explore the latest progress in our communities as the reach of cannabis increases.
Know someone who is just as cannacurious as you are? Be sure to share this newsletter to keep them in the loop!
// CannaGather Calendar
December 17 // New York, NY // 2019: A Year in Review with State Senator Diane Savino
Rebranding Cannabis Companies
A growing number of cannabis companies are ditching the “stoner” style image for a more professional look. Many firms strategically make this decision when going public, such as Denver-based cannabis technology firm MJ Freeway. They changed their name to Akerna ahead of their listing on the Nasdaq. The new name was based on “kern” which stands for an organic kernel of corn or a kernel of data. “We really wanted for the public listing a name that was not so quickly tied to cannabis but would make a more balanced connection between cannabis and tracking systems,” said their VP of Global Marketing and Communications. High Street Capital Partners is another example, becoming Acreage Holdings during its plan to pursue an IPO.
Other reasons a company might rebrand are that it has launched different services, it wants to shift to conform to ta new competitive landscape, or it wants to highlight the growth of professionalism within the industry. Vireo Health International will use “Green Goods” as its official retail name to paint a better picture as a national brand, and Cresco Labs its rebranding its newly acquired dispensaries as Sunnyside in an effort to convey a happy image.
What This Means and Why You Care: Branding matters, no matter what the business endeavor is. As the cannabis industry evolves, it is important for entrepreneurs to keep this in mind and make sure to structure their brand around the message they want to send to their target audiences.
Stocks Jump After Canadian News
The Canadian province of Ontario announced this week a plan to issue about 20 new cannabis store approvals starting in April 2020, a signal to traders that bumped up stocks. The move opens up the market for new retailers and could help boost a legal Canadian industry that has struggled to compete with the black market (which still holds roughly an 80% share of Canadian sales). The current lottery system, which has been criticized for being excessively slow with unfair qualifications, will be eliminated on Jan 1, and the Alcohol and Gaming Commission of Ontario will start accepting new applications from retailers on Jan. 6
Some immediate activity provided good news: Canopy Growth shot up about 4%, Aurora Cannabis rose 3.5%, Cronos climbed 1%, Tilray rose 1%, MedMen went up 16%, Aleafia added 5%, and Organigram rose 3%. “We have said all along that opening more legal stores is the most effective way to combat the illicit market, protect our kids and keep our communities safe,” said Attorney General Doug Downey.
What This Means and Why You Care: After a stretch of bad news for the cannabis market, the announcement out of Ontario is a step in the right direction. The move will hopefully set a lower legal price standard, increasing the share of legal market sales. Traders seem to think that outcome is possible.
New York State Hemp Regulations
On December 10, legislation was signed by New York Governor Andrew Cuomo to establish a regulatory framework for the production and sale of hemp and hemp extract in New York State. This goes into effect in March 2020. It creates licenses for growing, manufacturing, and extracting hemp, allowing extractors to procure, possess, manufacture, and extract hemp for human or animal use. Along with the new regulations, Cuomo announced that New York State will host a hemp summit in January to “further develop policies and priorities related to this burgeoning industry.”
What This Means and Why You Care: Hemp regulations in New York State were a long time coming. Significant growth in the state’s hemp industry required action from the government. Now that there is official legislation signed, the many players involved are speaking up about there support or concern for the new rules.
// Medicine, Science, & Technology
New Scientific Studies This Week
Scientists researching effectiveness of orally-consumed cannabinoids with mice published their findings in Neuropsychopharmacology this week, concluding that “mice voluntarily consume cannabinoids via gelatin, and that cannabinoids provide long-term relief of chronic pain states.”
A review looking into cannabis-based products for pediatric epilepsy was released, showing that “cannabidiol probably reduces the frequency of seizures among children with drug-resistant epilepsy.”
A study focused on surface detection of THC attributable to indoor vape-use found that “a room in which cannabis was administered by vaporization surfaces tested positive for THC at quantifiable levels…representing a first step in understanding how side-stream cannabis vapor deposits in the environment may result in tertiary exposure to users and bystanders.”
What This Means and Why You Care: The ability of cannabis to treat a range of medical issues is finally coming to light as researchers gain interest and funding in a legal environment to test new products and theories.
Join Us! We’re All In This Together
Here at CannaGather, we encourage everyone to get involved. Interested in joining us? We are looking always looking for:
- Market Leaders in new locations
- New team members in our existing locations (folks who want to help with sponsor sales or spreading the word to new attendees)
- Sponsors for our events and newsletter
You can email CannaGather founder Josh Weinstein at firstname.lastname@example.org for more info.
Written by Justin Bernstein